eor - made in Germany

Employer of Record - EoR

Are you an international company looking to hire employees in Germany without establishing your own local entity? Our Employer of Record (EOR) service is the ideal solution for legally compliant and hassle-free employment in Germany. We hold the mandatory license from the Federal Employment Agency (AUG), ensuring that our service is fully compliant with legal requirements.

What Does an Employer of Record (EoR) do?

An Employer of Record (EOR) is an organization that helps companies expand internationally by employing and paying employees on behalf of another company. EORs assume the responsibility for all formal employment tasks, including payroll processes and compliance documentation.

Simply put, using an Employer of Record (EOR) allows companies to legally and efficiently employ employees in other countries without having to set up a local entity or risk violating local employment laws.

More Details

Our Services

Employment of employees for the Client (EOR / AUG model)

Payroll processing, statutory deductions, and payments

HR support for day-to-day employee matters.

Benefits administration and statutory insurances

Employment contracts and documentation

Onboarding and offboarding support

Compliance with German labor and employment law

Coordination with authorities (tax, social insurance, etc.)

Focus on what Matters

By letting us take care of all legal and administrative employer duties, you can focus on your core business goals. We handle the back-end compliance so you can drive forward with confidence. By using our EOR service, you can hire employees in Germany instantly without the lengthy process of setting up a local subsidiary. This gives you the agility to seize opportunities in the German market right away.

GUIDE

How much does employment in Germany cost, and how much is an EOR?

Hiring in Germany involves more than just paying a gross salary. Employers are required to contribute to statutory social insurance, health, pension, and unemployment schemes — typically adding around 24 % on top of gross pay.

Monthly gross salary (EUR)

EOR fee is shown separately and not included in the employer cost totals.

Employer Cost (Monthly)

—

Gross salary + employer contributions (excludes EOR fee)

ER Contribution (Monthly)

—

Sum of employer-side contributions

EOR Fee (Monthly)

—

Displayed separately (not included above)

Employer Cost Report

—

Monthly ER Contribution	Amount

Germany Market Overview

Employment Contracts & Working Conditions

Understanding Total Employment Costs in Germany

Employee Leave, Time Off & Statutory Benefits

Termination, Notice Periods & Compliance Requirements

Why Germany is Especially Complex

Germany is an attractive market, but it also has one of the most regulated employment systems worldwide. A few key challenges include:

An EOR in Germany ensures full compliance with these regulations — reducing your legal and financial risk

COMPLIANCE 01

Strict Labour Laws

Detailed rules for working hours, vacation, overtime, and termination.

LEGAL FRAMEWORK —

GERMAN LAW —

COMPLIANCE 02

Strong Employee Rights

Notice periods, protections against unfair dismissal, mandatory co-determination.

EMPLOYEE PROTECTION —

RIGHTS —

COMPLIANCE 03

Staff Leasing Regulations

Many industries have binding wage agreements and conditions.

REGULATIONS —

COLLECTIVE BINDING —

COMPLIANCE 04

AUG Licence required

when employed via an EOR arrangement and work performed in Germany.

VERIFIED —

LICENSING —

Employer Costs in Germany

Here’s what you can expect from us ✔︎

SPEED

Fast Onboarding

Onboarding within 1-3 days – even on weekends, if all documents are ready. Fast, practical and flexible.

START NOW —

SAFETY

Full Compliance

We operate with a valid German labour leasing licence (AÜG). Your business and employees are always safe.

LEARN MORE —

SERVICE

Direct Support

Dedicated contact person for every client and employee. Available 6 days a week, 365 days a year.

GET SUPPORT —

LOCAL

Local Presence

Our team members are based in all major German cities, ready to support you directly on the ground.

LOCATIONS —

TRUST

Fixed Pricing

Transparent monthly fees with no hidden charges. Clear communication for your financial planning.

CHECK PRICING —

EXPERTISE

Proven Track Record

Largest supplier for Uber & Uber Eats in Germany. We manage complex workforce projects reliably.

CASE STUDIES —

why worknow EOR services

Hiring in Germany is complex — from strict labour leasing regulations and visa requirements to detailed local compliance obligations. Many global EOR providers rely on standardized, one-size-fits-all processes that may appear seamless online, but often fail to reflect the specific legal and operational realities of the German market. We operate our EOR services under Germany’s labour leasing framework and hold the required AUG licence issued by the Federal Employment Agency. That’s where we come in.

worknow is based in Berlin, Germany, and we combine local expertise with a very personal approach. We don’t just provide documents – we make sure things actually move quickly and smoothly.

All You Need To Know!

FAQs for Employer of Record Services

What does Employer of Record mean at worknow?

An Employer of Record (EOR) enables companies to employ staff in another country in a fully compliant manner without setting up a local legal entity. worknow operates exclusively in Germany and acts as the legal employer for employees hired in Germany on behalf of foreign companies.

Where employees are hired and perform their work in Germany, Employer of Record arrangements fall under Germany’s labour leasing framework. According to the prevailing legal view, EOR models with a German nexus qualify as labour leasing (Arbeitnehmerüberlassung). For this reason, worknow operates its EOR services accordingly and holds the required AUG licence issued by the German Federal Employment Agency.

Based in Berlin, with in-depth knowledge of German labor, tax and social security law and the required legal authorizations, worknow ensures that employment in Germany is fully compliant. Our approach focuses on personal support, clear processes and direct accessibility.

Which services does worknow provide as an Employer of Record?

worknow assumes all legal and administrative employer responsibilities in Germany. This includes the preparation of compliant German employment contracts, full payroll processing, payment of taxes and social security contributions and all required filings with authorities and social security institutions.

Day-to-day management and operational collaboration with the employee remain fully with the client company.

How does payroll work at worknow?

As Employer of Record, worknow bears full responsibility for accurate and timely payroll in Germany. Salaries are paid on time, all statutory deductions are correctly processed and all reporting obligations are fulfilled.

This allows foreign companies to employ staff in Germany without having to deal with the complexity of German payroll, tax and social security regulations themselves.

What are the costs of using worknow?

worknow’s standard monthly EOR fee is EUR 599 per employee. This fee covers ongoing Employer-of-Record services, including payroll, compliance and administrative support.

In addition, a small one-time onboarding fee and a one-time offboarding fee apply. All costs are communicated transparently before the start of the engagement. worknow does not charge hidden fees or percentage-based fees on employee salaries.

Can I hire employees in Germany without an Employer of Record?

worknow is not a global platform provider, but a Germany-focused Employer of Record. With a clear regional focus, a Berlin headquarters and personal support, worknow offers a significantly higher level of legal certainty than broadly positioned international providers.

Instead of anonymous workflows, you work with dedicated contacts who understand German labor law and take your specific situation into account.

How does worknow differ from international EOR providers?

Instead of anonymous workflows, you work with dedicated contacts who understand German labor law and take your specific situation into account.

AUG Licence

As part of the licensing process, the Federal Employment Agency conducts regular and comprehensive reviews of a provider’s reliability, financial stability, and full compliance with wage payments and social security contributions. An indefinite AUG licence is only granted after several years of audits without any objections, making it a strong indicator of long-term compliance and operational stability.

Is there a minimum or maximum duration for employment with worknow?

There is no minimum duration for employment with worknow.

Under German law, employment within an Employer-of-Record / employee leasing setup is subject to a maximum duration of 18 months. worknow ensures that this statutory limit is observed and supports you in structuring the engagement accordingly.

If longer-term employment in Germany is planned, worknow is happy to advise on alternative, compliant setups.

Can worknow provide a company car or fuel card?

No. As an Employer of Record, worknow does not provide company cars or fuel cards.

Due to the limited duration of EOR arrangements and the financial, legal and tax risks associated with vehicle leasing, this is not feasible. As an alternative, clients may arrange a vehicle directly, for example through a long-term rental. Where applicable, worknow can reflect private-use taxation or mileage reimbursement in a compliant way via payroll.

Bonus Payments & Incentives

Can we include bonus agreements in the employment contract?

To maintain maximum flexibility and a clear separation of legal liability, worknow GmbH does not fix any performance-related bonus entitlements in the primary employment contract.

Our role is to provide a compliant platform for your international or local hiring needs.

Regarding incentives, we operate under the following principles:

Discretionary Nature: Any rewards or incentives are treated as purely discretionary payments initiated by the client. These are not part of the core contractual salary obligations of worknow GmbH.
The Pass-Through Model: We act solely as a technical processing agent. A payout can only be facilitated if the client explicitly requests it and provides the necessary funds in advance.
Budgeting for Ancillary Costs: Please be aware that the total cost for a bonus includes the gross amount plus approximately 25% in employer-side contributions (social security, etc.).
Execution only upon Funding: worknow GmbH will process the payment through the next available payroll once the full amount (including all employer costs) has been secured.

The Benefit: This structure ensures that you retain full control over your budget on a month-to-month basis without creating long-term legal precedents or fixed contractual liabilities for either party.

How does the collaboration with worknow start?

Getting started with worknow is simple.

You send us a short email outlining your hiring plans in Germany, including who you want to hire, for which role, the intended start date, the planned salary and the expected duration of employment.

Based on this information, worknow reviews feasibility and, in most cases, completes the entire setup within 3–5 business days. Where required, we are also able to progress steps over weekends to meet tight timelines. Throughout the process, you are supported by a dedicated contact to ensure a compliant, transparent and straightforward setup.

With worknow, you get the best of both worlds. EOR - Made in Germany.

the efficiency of a modern EOR service and the reliability of a local partner who is always there when you need support.

Hiring an EOR provider without the necessary Agentur für Arbeit authorization can expose your business to serious risks. Under German law, you could face subsidiary liability, meaning you could be held accountable for any violations of labor, tax, or social security laws committed by your provider. This could result in hefty fines and unexpected back payments.

Get a Quote

our pricing

Transparent fees. Reliable service. Local expertise.

We believe in clear and predictable costs, which is why our pricing model is fully transparent, legally compliant, and tailored to meet the specific requirements of your business in Germany.

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